SMIC enters logistics, buys minority stake in 2GO

CONGLOMERATE SM Investments Corp. (SMIC) has acquired 34.5 percent minority stake in logistics firm 2Go as part of its strategy to invest in the logistics business given the country’s robust economic growth.

“We are pleased with this opportunity to invest in a fast growing, dynamic logistics business. It will benefit from as well as contribute to the country’s economic progress, especially as development spreads to the provinces,” Harley Sy, SMIC president, said in a statement on Friday.

Sy said the interest in logistics will be synergistic with the group’s expansion and core retail business amid the broader economic growth, with the government’s plans in infrastructure, agriculture and tourism.

SMIC reported net income of P31.2 billion for 2016, an increase of 8 percent from the prior year, while its consolidated revenues grew 9 percent to P362.8 billion.